U.S. Postal Service backs off closings plan

WASHINGTON — The U.S. Postal Service announced Wednesday that it has abandoned plans to close thousands of postal facilities across the nation, including 186 in Arkansas.

Rather than close the facilities, the Postal Service now plans to shorten business hours at most of its rural facilities.

The U.S. Postal Service estimates that 397 of its 619 postal facilities will see their hours reduced over the next two years.

“The Postal Service is meeting us half way, which is a win for small communities who were about to lose their post offices entirely,” said U.S. Sen. Mark Pryor, D-Ark.

Postmaster General Patrick Donahoe said Wednesday the proposal to close up to 3,700 low-revenue post offices had drawn overwhelming community opposition. Instead, 13,000 rural mail facilities would have their business hours trimmed by between two to six hours per week.

“We’ve listened to our customers in rural America and we’ve heard them loud and clear – they want to keep their Post Office open,” Donahoe said.

The Postal Service intends to seek regulatory approval and get community input, a process that could take several months for the new approach that would save about $500 million annually.

Meanwhile, Congress is continuing its effort to pass legislation to shore up the financially strapped mail service.

The Senate has approved a reform bill that would allow postal officials to reduce its workforce by 100,000 through early retirement incentives. Those incentives would be paid for by allowing the Postal Service to recover $11 billion in overpayments made to a workers compensation program.

House Republicans have voiced opposition to the Senate bill, saying it would increase USPS debt by nearly $1 billion even as it includes a $33 billion taxpayer funded bailout.

The House bill would look to pension accounts to fund early retirement incentives, allow the post office to end Saturday mail delivery and establish a two-year task force to recommend a plan to consolidate facilities.